Documente Academic
Documente Profesional
Documente Cultură
<Topic>
August, 2005
Introduction
Procwork
Introducing PW team
PP Consultant : Leonardo Abreu MM Purchasing Consultant : Marcelo Stieger & Rafael Costa IM/WM Consultant : Reanato Penna FI / CO Consultant : Alexandre Matoso SD Consultant : Marcelo Stieger & Marcell Mascarenhas PM : Marcelo Stieger
Brazil
Consultant Risk
Complexity and effort to meet the Brazilian local legal requirements
PW
Localization Principles
Culture of bureaucracy
reality since very early in Brazils history continued regardless of many attempts to modernize
Brazil Localization
Benchmark data based on Procwork Roll Out Experiences
Based on several SAP R/3 roll out projects in Brazil, Procwork have learned the following * :
Over 300 process variants can be impacted by localization requirements Average level of adherence of international templates (developed without Brazilian requirements) for implementation in Brazil SAP Module Adherence* SD 40% MM 50% CO 60% FI 60% PP 90% Average 60% Some processes not fully supported by standard SAP R/3
- Foreign trade document flow & documentation - Tax reports for different regions and/or for specific requirements of the business - some aspects of Payroll, External Warehouse, Bank EDI, etc ...
* impact varies significantly considering client specific business requirements, therefore, data should be used as a benchmark reference only
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Hierarchy
Hierarchy - Branch
The Filial (branch)
tax reporting Nota Fiscal reporting
Company
Filial
Plant
Plant
Legally represents each physical address of the company in which there will take place any tax related operations Important data is maintained at this level
Storage Location
Banch 1
Branch 2
Branches
Jabil Circuit could be structured as only one Company Code. Reports could be taken at Company Code level, for Legal and Business requirements.
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Brazilian Localization
Brazilian Localization
Nota Fiscal Most important fiscal/tax document for
Invoicing Accounting Goods movement
Contains taxes and business requirements Pre-printed form Sequenced numbers by physical site (branch) Audited by local Fiscal Authorities Source of key integration data
Accounting information Tax information
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Brazilian Localization
Nota Fiscal Nota Fiscal Types
Nota Fiscal Fatura (invoice) Nota Fiscal Complementar (complement) Nota Fiscal de Correo (correction) Nota Fiscal de Devoluo (returns) Nota Fiscal de Transferncia (transfers) Nota Fiscal de Simples Remessa (issue goods without billing) Nota Fiscal de Entrada (incoming - e.g. Importation) Nota Fiscal de Conhecimento de Transporte (freights) Nota Fiscal de Energia Eltrica (energy) Nota Fiscal de Telefonia (telecomunications)
SAP Configuration
Nota fiscal has internal and external number ranges Depends on Sales document type Depends on Movement type
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Brazilian Localization
Taxes There are many taxes in Brazil
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Brazilian Localization
Taxes IPI is a federal tax and depends on:
Control code (in Brazil is used as NCM code) Material exception
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Brazilian Localization
Taxes IRRF is a tax related to natural person (IRPF) and legal entities (IRPJ) and depends on:
Vendor for incoming
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Brazilian Localization
Tax Reports Tax related transactions should be stored in Fiscal Books (livros fiscais) There are rules on how to register them Requirements for printing and archiving are needed Different sorts of industry (or even company) operations require reports adaptation
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Brazilian Localization
Product Costing Real Cost Method is mandatory Requires a significant amount of configuration and testing (Material Ledger) SAP have developed specific programs to be executed every time a period is closed Localization Brazil now is part of SAP standard.
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Master Data
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Text code
texts are printed in the Nota Fiscal
Tax Classification
0 : Not Taxable 1: Taxable 2: Zona Franca
CFOP Category
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CNPJ
Insc.Estadual
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Nota Fiscal Number Operation Description CFOP Code Inscrio Estadual CNPJ Outgoing or Incoming Nota Fiscal ICMS item rates
Observations
Nota Fiscal Number Operation Description CFOP Code Inscrio Estadual CNPJ Outgoing or Incoming Nota Fiscal ICMS and IPI item rates and IPI amounts
NCM Code
Tax related part of the Nota Fiscal ICMS and IPI Texts and observations
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Bolt-ons
WinChem
SAP R/3
Global Marketing
Bolt-ons
Legal Books Export/ Import
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Bolt-ons
Legal Books Objectives :
1. Generate the Legal Books according to the Federal, State and City laws 2. Calculate the amounts to be paid, issue the legal documents (gias) and generate electronic files, when applied
Notes :
SAP provides some of the Legal Books based on So Paulo state only It is necessary to issue the other books / same books for other states Most clients decide to use specialized bolt-on systems to support these legal requirements Even with these bolt-on systems its absolutely necessary to do all the configurations in the SAP side Bolt-ons just get the information from SAP and put it into the specific lay-outs, according to the legislation
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Bolt-ons
Legal Books Effort :
Dependant on the fiscal requirements of the company Should start at the Realization phase
Resources :
Business input tax resources Designers tax resources Specialists bolt-on specialists
Options :
Mastersaf Aspen-Sati Syncro ...
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Bolt-ons
Export Objectives :
1. 2. 3. 4. 5. 6. 7. Export Data Bases Control Export Orders and Shipments Processes Follow-Up Issue Documents Export Exchange Control Issue Reports Generate daily and monthly accounting postings
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Bolt-ons
Import Objectives :
1. Import documentation from the Import Order to the issue of the Receipt Fiscal Invoice 2. Import Data Bases 3. Issue Documents 4. Follow-up reports 5. Import exchange control 6. Generate daily and monthly accounting postings
Note :
The physical receipt, as well as the fiscal and accounting receipt are not included in the scope but may be executed in SAP
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Bolt-ons
Export / Import Effort :
High Should start at the Realization phase
Resources :
Business input import/export resources Designers import/export resources Specialists bolt-on specialists
Options :
Bergen Aspen CE (Procwork) Bysoft Average ...
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Presentation Approach
Forecast
Order Handling
Planning
Purchasing
Inventory
Production
Execute Work
Finance
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Agenda <Scenario>
Overview Description of Scenario Overview Business Process Flow Main Localization Requirements Solutions SAP configuration Special Development Bolt Ons Manual workaround Summary Reminder of Key Points
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<Scenario Description>
Define & Maintain Data Forecast Order Handling Planning Purchasing Inventory Production Shipping & Logistics Invoice & Payment Claims & Feedback
Execute Work
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Quotation (optional)
Create Delivery
Posting G/L
Account Receivable
Fiscal Books
Suppliers
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Implementation
How COMPLEX is this to do? How much EFFORT is required, type of resources, duration, etc.
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Contains taxes and business requirements Pre-printed form Sequenced numbers by physical site (branch) Audited by local Fiscal Authorities Source of key integration data
Accounting information Tax information
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Vendor
Legal Information (tax code i.e. CNPJ) Situao Tributria IPI and ICMS Withholding category indicator
Customer
Legal Information (tax code ie. CNPJ, Insc.Estadual) Text code (texts are printed in the Nota Fiscal) Tax Classification (Taxable, Zona Franca) CFOP Category
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Standard Sales
Define & Maintain Data Forecast Order Handling Planning Purchasing Inventory Production Shipping & Logistics Invoice & Payment Claims & Feedback
Execute Work
Scenario : Standard Sales This scenario describes the main flow of activities to be performed in Brazil from the creation of a sales quotation (optional) and convert it to a sales order until the delivery the goods to the customer, the billing and the Sales Nota Fiscal generation.
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Standard Sales
Customer
Request for quotation Quotation Approved, Purchase Order
Customer Region (state) Tax Code for Brazil Pricing Procedure for BR Domestic Sales Taxes calculation (ICMS, IPI, PIS,COFINS) Fiscal Texts for ICMS & IPI
Plan Shipmen ts & Book Transpor t Create Delivery Print Shipping Doc. Receives Goods & documents
Quotation (optional)
Pricing Procedure for BR Domestic Sales Taxes calculation (ICMS, IPI, PIS,COFINS) Suppliers
Confirm Purchase order Posting G/L
Posting G/L
Account Receivable
Fiscal Books
Account Keys for BR Dom. Sales Fiscal Texts for ICMS & IPI
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Standard Sales
The Solution
SAP configuration
Configuration specific for Brazil; New Sales order type and item category; New Billing document; New Incompletion proc.for Brazilian mandatory fields; New Pricing procedure and Account keys assigned to the new condition types; Legal Text for ICMS and IPI; SAP Script development for Nota Fiscal
MASTERSAF, Aspen-Sati, SYNCRO [Fiscal Books]
Special development
Bolt-on
Implementation
A standard sales order process is not difficult to be implemented. There are some points of attention to consider: Standard pricing procedure for Brazil must be adjusted; Complex SAP Script development for NF; All business variants relevant to Brazilian operations must be tested; Knowledge of the BBRAUN fiscal area to handle correctly the Brazilian requirements in SAP
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Pricing Procedure
* Sales Pricing Procedure for Brazil (Std.: RVXBRA)
Initial Price (PR00) -/+ Discount/Surcharge * (without taxes) ______________________________ + Price with ICMS (ICMI) -/+ Discount/Surcharge * (including taxes) ______________________________ Tax Base + IPI + ICMS + ISS _ _ Final Sales Price (NF) _______________________________ Base of PIS/COFINS PIS (statistic) COFINS (statistic)
*Optional conditions for pricing -Automatic condition calculated by a formula - IPI calculation: NCM code / material -ICMS Region-from/ Region-to -ISS Tax for services
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Export Orders
Define & Maintain Data Forecast Order Handling Planning Purchasing Inventory Production Shipping & Logistics Invoice & Payment Claims & Feedback
Execute Work
Scenario : Export Orders This scenario describes the main flow of activities to be performed in Brazil from the creation of a export quotation (optional) and convert it to a sales order until the export documentation preparation, the delivery to the external agent, the billing and the Export Nota Fiscal generation.
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Export Orders
Customer
Request for quotation Quotation Approved, Purchase Order
Customer Country Tax Code for Brazil (I0,C0) Pricing Procedure for BR Export Sales NO Taxes calculation Fiscal Texts for ICMS & IPI Shipme
nts & Book Transpo rt Plan
Quotation (optional)
Create Delivery
Bolt-on
Posting G/L
Account Receivable
Agent
Account Keys for BR Export Fiscal Texts for ICMS & IPI
Suppliers
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Export Orders
The Solution
SAP configuration
Specifics for Brazil; Sales order type, item category and billing document; New incompletion proc.for Brazilian mandatory fields; New Pricing procedure specific for BR Export and Account keys assigned to new condition types; Legal Text for Export; SAP Script development for Nota Fiscal Bergen, Aspen CE [Export and documentation Control]; MASTERSAF, Aspen-Sati, SYNCRO [Legal Books] Extra export documentation, communication with SISCOMEX
Special development
Bolt-on
Manual workaround
Implementation
Its a complex solution because requires or a large manual documentation for export process or an new integration with the bolt-on system to solve this. Besides, new SD documents, pricing procedure and accounting assignment must be created.
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Execute Work
Scenario : 3rd. Party Sales This scenario describes the main flow of activities to be performed in Brazil when for the same customer, you have a payer different from ship-to address. Locally this process is called Venda por conta e ordem. In this case, to support the Brazilian legal requirements, SAP system must provide 2 different types of Notas Fiscais. The first one must to be issued to the payer (just to bill the customer) and another one must to be issued and sent to the ship-to address (just to follow the goods to the customer plant).
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Pricing Procedure for BR 3 rd. Party Sales Taxes calculation (ICMS, IPI, PIS,COFINS) Account Keys for BR 3rd. Party Fiscal Texts for ICMS & IPI and Loa Plan d manual fiscal text Shipments
Pricing Procedure for BR 3 rd. Party Sales Taxes calculation (ICMS, IPI, PIS,COFINS) New Sales order type (2) Fiscal Texts for ICMS & IPI Use Customer-Send to (address) Pricing Procedure for BR 3 rd. Party Sales
Create To Sales order Taxes calculation (ICMS, IPI, Quotation Production & PIS,COFINS) ref. quot. Purchasing (RCS)
Manual texts for NF (if necessary) Reference w/Confirm the first NF Goods issued Delivery
(1) Transfer Order Issue Create Create/ Post
Step 1
Reference: Billing doc. Step 1 Confirm Purchase order Create Sales order ref. Bill.doc. (RCM) Ship-to Create Billing Doc. (FST) Create Nota Fiscal (N1) Bolt-on
Posting G/L
Account Receivable
Fiscal Books
Step 2
Suppliers Customer (send-to)
Ref. First NF
Special development
Bolt-on
Implementation
This scenario has a medium effort to be implemented. There are some points of attention to consider:
Distinct configurations to support the first and second Nota Fiscal, its take more time to prototype and test; The scripts are important to drive the user in order to choose the correct documents in the right sequence; Knowledge of the BBRAUN fiscal area
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Consignment Sales
Define & Maintain Data Forecast Order Handling Planning Purchasing Inventory Production Shipping & Logistics Invoice & Payment Claims & Feedback
Execute Work
Scenario : Consignment Sales This scenario describes the main flow of activities to be performed in Brazil when you need to send products in consignment to the customer without bill him, but to support the Brazilian legal requirements, you need to send a Nota Fiscal to follow goods. When customer consumes your products, you have to invoice him, sending another Nota Fiscal. In the first Nota Fiscal, we have to bring the taxes but we will not charge the customer, and then in the second Nota Fiscal, it will have the same taxes
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Consignment Sales
Customer (payer)
Customer request Customer Use Customer Region informs consumed Pricing Procedure for BR quantity
Step
Account receivable and IPI Taxes calculation (ICMS statistic, IPI, PIS,COFINS) Taxes calculation (ICMS statistic, IPI, PIS,COFINS) Fiscal Texts for ICMS & IPI 1: Fill-up Fiscal Texts for ICMS & IPI
Create Sales order ref. Bill.doc. (KEB)
Plan Taxes calculation (ICMS, IPI Shipme Taxes calculation (ICMS, IPI statistic) nts & statistic) Book Fiscal texts for ICMS, IPI New Sales order type (KEB) Fiscal Texts for ICMS &Transpo IPI rt Use Customer Region Confirm To Transfer Goods Post Pricing procedure for BR Create Create qty Pricing Procedure for BR& Production fromConsignment production Delivery Goods Sales order Issue Sales order Purchasing Consignment Issue to Warehouse (LFB) Issue (KBB) Consign. Special Stock
Consignment Fill-up
Step 2: Issue
Confirm Purchase order
Posting G/L
Posting G/L
Account Receivable
Fiscal Books
Suppliers
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Consignment Sales
Customer (payer)
Customer request Return customer Nota Fiscal & goods Receives goods Plan Shipme nts & Specific Sales Order type (KAB) and Book item category Transpo for Brazil rt Use same Pricing Procedure for BR Confirm Create Post Consignment Fill-up qty Delivery Goods Sales order (LFB) NF number Issue (Legal Inform Customer Nota Fiscal just to follow goods
Create Generate Billing Nota Its not necessary Doc. Fiscal to issue another NF (FCR) (N1)
Step 1: Fill-up
to receive goods. Bolt-on The customer NF Posting Fiscal will G/L support the Books process
Create Sales order ref. Bill.doc. (KAB) Register customer Nota Fiscal ref: bill.doc. Confirm Purchase order
Step 3: Pick-up
Posting G/L
Fiscal Books
Suppliers
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Consignment Sales
The Solution
SAP configuration
Specifics for Brazil; Sales order type, item category and billing document (one for each step of the process); New incompletion proc.for Brazilian mandatory fields; New Pricing procedure specific for BR 3rd.party and Account keys assigned to new condition types; Legal Text for ICMS and IPI;
SAP Script development for Nota Fiscal MASTERSAF, ASPEN-SATI , SYNCRO [Fiscal Books]
Special development
Bolt-on
Implementation
This scenario has a medium effort to be implemented. There are some points of attention to consider:
Distinct configurations to support the first and second Nota Fiscal, its take more time to prototype and test; The scripts are important to drive the user in order to choose the correct documents in the right sequence; Knowledge of the Jabil fiscal area
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Execute Work
Scenario : Samples and Free of Charge This scenario describes the main flow of activities to be performed in Brazil to send some samples or free of charge products to a customer. Every product must be followed by a Nota Fiscal, even if it is free of charge. Samples with less than 5 kg are tax exempt, otherwise they will have ICMS and/or IPI. In cases we have taxes, we need to account them and register in Legal Books.
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Customer Region (state) Tax Code for Brazil Pricing Procedure for BR Samples Taxes calculation (ICMS, IPI) Fiscal Texts for ICMS, IPI
Plan Shipme nts & Book Transpo rt Confirm qty Sales order Create Delivery Post Goods Issue Create Billing Doc. (ZXX)
Posting G/L
Posting G/L
Fiscal Books
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Special development
Bolt-on
Implementation
A sample or free of charge process is not difficult to be implemented. There are some points of attention to consider: Standard pricing procedure for Brazil must be adjusted; Complex SAP Script development for NF; All business variants relevant to Brazilian operations must be tested; Knowledge of the BBRAUN fiscal area to handle correctly the Brazilian requirements in SAP
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Customer Returns
Define & Maintain Data Forecast Order Handling Planning Purchasing Inventory Production Shipping & Logistics Invoice & Payment Claims & Feedback
Execute Work
Scenario : Customer Returns This scenario describes the main flow of activities to be performed in Brazil when a customer returns the goods for commercial or quality reasons. The difference in Brazil exists only because of the Nota Fiscal that will be used during the process. There are two different process: one with own Nota fiscal that Jabil has to create another incoming nota fiscal and the other with Customers nota fiscal where Jabil has only to inform in incoming Legal Book.
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Customer
Specific Sales Order type (ROB) and item category for Brazil Use same Pricing Procedure for BR Standard Sales Inform Jabil NF number (Legal Receive Books) the goods Usually created with reference to to stock a billing
to return Analyse the goods and release or Reject
Create specific Sales Order (ROB) Register Jabil Nota Fiscal ref: bill.doc.
Register Reason
Posting G/L
Posting G/L
Fiscal Books
Specific Billing document (REB) Suppliers Use same Pricing Procedure for BR Standard Sales
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Specific Sales Order type (REB) and item category for Brazil Use same Pricing Procedure for BR Standard Sales Inform Customer NF number (Legal Books) w/o reference in SAP Receive Usually created with billing
the goods reference to a to return to stock Analyse the goods and release or Reject
Create specific Sales Order (REB) Register customer Nota Fiscal ref: bill.doc.
Its not necessary to issue another NF to receive goods. The customer NF will support the process.
Specific Billing document (REB) Suppliers Use same Pricing Procedure for BR Standard Sales
Fiscal Books
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Customer Returns
The Solution
SAP configuration
Configuration specific for Brazil; New Sales order type and item category (consider 2 scenarios); Billing document; New incompletion proc.for Brazilian mandatory fields; Automatic Legal Text for ICMS and IPI and manual texts (if necessary) SAP Script development for incoming Nota Fiscal (Scenario: Returns w/ BBRAUN NF) MASTERSAF, Aspen-Sati, SYNCRO [Fiscal Books]
Implementation
The returns from the customers process isnt difficult to be implemented. There are some points of attention to consider:
Two different scenarios for Brazil, using specific documents types, will demand a effort of configuration and testing The scripts are important to drive the user in which documents must be used Knowledge of the Jabil fiscal area to understand and fill correctly all the Brazilian legal fields in SAP and how the process must be handle in SAP
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Execute Work
Scenario : Correction of price or quantity This scenario describes the main flow of activities to be performed in Brazil when Jabil makes a mistake related to the price or quantity and the customer or the own firm recognize issue and decide to correct the amounts. For Brazil, the SAP needs to provide a Nota Fiscal (Complement NF) to match the legal requirements.
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Specific Sales Order type (DRB) Complement and item category for Brazil Specific Billing type (L2B) Nota for Brazil Fiscal Manual condition type to inform de difference of price Manual condition type to inform de difference of price Inform BBRAUN NF number (Legal Books) Inform BBRAUN NF number (Legal Books) Usually created with reference to a billing
Create Billing Doc. (L2B) Inform the Difference (PR00 or Qty) Generate Complement Nota Fiscal (N2) Bolt-on
Posting G/L
Fiscal Books
Suppliers
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Special development
SAP Script development for Nota Fiscal
Bolt-on
MASTERSAF, ASPEN-SATI, SYNCRO [Fiscal Books]
Implementation
This scenario requires a low effort be implemented. There are some points of attention to consider:
Besides the low complexity, this scenario is very important to the day by day for all the companies in Brazil.
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Customer to Cash
Other Local Legal Scenarios
Services; Industrialization; Resales; Sales for consumption; Zona Franca (Resales and Industrialization; Scrapping; Fixed Assets; Credit Memos;
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Standard Purchasing
Define & Maintain Data Forecast Order Handling Planning Purchasing Inventory Production Shipping & Logistics Invoice & Payment Claims & Feedback
Execute Work
Scenario : Standard Purchasing This scenario describes the main flow of activities to be performed in Brazil from the creation of a purchase requisition for an item and its release procedure until payment of the item when it is received.
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Standard Purchasing
Customers
- At
Nota Fiscal Receiving Invoice Verification, inform Nota Fiscal Number, Issuing date, receiving date, total amount, Nota Fiscal Type
- At Goods Receipt, inform Nota Fiscal Number, Issuing date, receiving date
Posting G/L
Posting G/L
Accounts Payable
Fiscal Books
Outline Agreement
Purchase requisition
Evaluate quotations
Purchase order
Follow-up on delivery
Goods receipt
Pricing Schema
Suppliers
Quotation
Tax code - Nota Fiscal Type - Additional data: Material - Additional data: Material - Tax code Usage, Material Origin, Usage, Material Origin, Create Confirm Deliver Nota Material Category, Material Category, NCM code - PO Number Sales NCM code
Order order material
Fiscal
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Standard Purchasing
The Solution
SAP Configuration Pricing Schema with Brazilian taxes (ICMS, IPI); Tax code configuration. Special Development SAPscript for Purchase Order Printing. Bolt-Ons MASTERSAF, ASPEN_SATI, SYNCRO.
Implementation
A standard purchasing order process configuration isnt difficult to be implemented. The complexity will be the fiscal variants to be tested and configured. There are 3 points of attention to consider: pricing schema configuration; SAP Script development; basic fiscal knowledge of the buyer to understand which tax code should be used.
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Pricing Procedure
Example of basic Pricing Procedure for Brazil: ZRM0000
Price with ICMS IPI + (((Gross Price (Preo Bruto) Consumption ICMS) Industrialization ICMS) IPI) + Net Price (Preo Lquido) IPI ICMS
- Automatic IPI calculation: Standard; By NCM Code; Exception by material. - Automatic ICMS calculation: Standard; By State; Exception by material.
IVA CODE
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Stock Transfer
Define & Maintain Data Forecast Order Handling Planning Purchasing Inventory Production Shipping & Logistics Invoice & Payment Claims & Feedback
Execute Work
Scenario : Stock Transfer This scenario describes the main flow of activities to be performed in Brazil while transferring a material from one plant to another.
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Nota Fiscal Issuing Generate Nota Fiscal to support material transfer from one plant to the other (outgoing Nota Fiscal) using a special movement type
-
Cotia
Goods Issue of Material/ Transfer Nota Fiscal Bolt-On
Nota Fiscal Receiving Receive Nota Fiscal from the other (incoming Nota Fiscal) using a special movement type
-
Pirapozinho
Supplier
Posting G/L
Fiscal Books
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Cotia
Create Transfer Purchase Order
data: Material Usage, Material Origin, Material Category, NCM code Nota Fiscal Receiving Receive Nota Fiscal from the other (incoming Nota Fiscal) using a special movement type
-
- Additional
Pirapozinho
Analyse pending deliveries
Nota Fiscal Issuing Generate Nota Fiscal to support material transfer from one plant to the other (outgoing Nota Fiscal) using a special movement type
-
Supplier
Posting G/L
Fiscal Books
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Stock Transfer
The Solution
SAP Configuration
Nota Fiscal Association to special movement types; Associate Issuing Plant as a customer; Create Receiving Plant as a vendor; Tax Code configuration.
Special Development
Adjustments to SAPscript for Outgoing Nota Fiscal form (Nota Fiscal de Transferncia).
Bolt-Ons
MASTERSAF, ASPEN_SATI, SYNCRO.
Implementation
The process has an standard operation in SAP. The complexity will be the planning and control of the transfers between plants. In case of using business areas some complex ABAP programs should be developed to support the transfers.
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Agenda - Import
Overview Description of Scenario Overview Business Process Flow Main Localization Requirements Solutions SAP configuration Special Development Bolt Ons Manual workaround Summary Reminder of Key Points
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Import
Define & Maintain Data Forecast Order Handling Planning Purchasing Inventory Production Shipping & Logistics Invoice & Payment Claims & Feedback
Execute Work
Scenario : Import This scenario describes the main flow of activities to be performed in Brazil from the creation of a purchase requisition for an item and its release procedure until payment of the item when it is received for a material bought out of the country. It also shows the integration points of SAP to bolt-on systems that control the imports.
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Import
Customers
Nota Fiscal Writer Receiving
Posting
-
The Nota Fiscal issued by G/L the agent to support Payable material transfer from the harbor to the plant Outline should be received manually at the Nota Fiscal Agreement Writer Transaction
Release purchase requisition Create Downpayment Bolt-On
-
The Custom Expenses declared by the agent to nationalize the imported materials are received with a Nota Fiscal Accounts Posting Fiscal transaction as in the Invoice Verification Payable G/L cost receipt Books a planned (if the cost was planned in the pricing schema in the purchase order) Exchange
rate variation
Fiscal Books
Invoice verification Bolt-On Nota Fiscal Writer Receipt Custom Expenses Invoice verification Bolt-On
Bolt-On
Follow-up on delivery
Goods receipt
Bolt-On
Schema - Pricing Nota Fiscal Type Receive Create Confirm Deliver code Down- Invoice Sales - Vendor number - Tax Tax code order Material payment Order data: Material - Material information (Quantity, Unit price, CFOP, - Additional PO Number
Agent
ICMS Tax Usage, Material Origin, Situation, IPI Tax Situation, Material Usage, Material Origin, - Planned costs Material Category, NCM code Material Category, NCM code)
Receive Material Deliver Material Nota Fiscal
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Import
The Solution
SAP Configuration
Pricing Schema with import pricing (Import Tax, freights, ).
Special Development
SAPscript for Purchase Order Printing; SAPscript for Incoming Nota Fiscal form (Nota Fiscal de Entrada).
Bolt-Ons
Bergen, SIGA-EIC (Easy Management) [Import Control]; MASTERSAF, ASPEN_SATI, SYNCRO [Fiscal Books].
Manual Workaround
Nota Fiscal Writer to receive the materials in stock; Distribution of custom expenses.
Implementation
Its a complex solution because requires the configuration of an import pricing schema, manual Nota Fiscal Writer for the goods receipt and the integration with the bolt-on system.
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Agenda - Subcontracting
Overview Description of Scenario Overview Business Process Flow Main Localization Requirements Solutions SAP configuration Special Development Bolt Ons Manual workaround Summary Reminder of Key Points
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Subcontracting
Define & Maintain Data Forecast Order Handling Planning Purchasing Inventory Production Shipping & Logistics Invoice & Payment Claims & Feedback
Execute Work
Scenario : Subcontract This scenario describes the main flow of activities to be performed in Brazil from the creation of a purchase requisition for an item and its release procedure until payment of the item when it is received for a material that was processed outside the plant using components sent by the plant. In this process, the company sends components to the vendor which processes it and send back to the company the processed material.
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At goods receipt the components used in the ubcontracting process are consumed to produce the material that was subcontracted
A specific Nota Fiscal is required to support this operation and can be sent by the vendor in 2
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Subcontracting
Nota Fiscal Receiving
- At Invoice Verification, inform Nota Fiscal Number, Issuing Posting Accounts date, receiving date, total G/L Payable amount, Nota Fiscal Type and Posting system Fiscalwill include the line items for Books the symbolic return of the G/L components used by the vendor
Issuing of Components Customers separated from the Nota Fiscal to bill the (Remessa para service (special transaction to receive it) Beneficiamento)
- AtFiscal goodsto issue the components used in together with the Nota bill the the subcontracting service (received at invoice verification) process are sent to vendor
Fiscal Books
Outline Agreement
Posting G/L
Fiscal Books
Purchase requisition
Evaluate quotations
Purchase order
Follow-up on delivery
Goods receipt
Invoice verification
Suppliers
Quotation
Bolt-On Type - Pricing Schema - Fiscal Texts for ICMS and IPI - Tax code - Nota Fiscal Type - Tax code - Amount of each component - Additional data: Material - Tax code being sent to subcontracting - Additional data: Material Usage, Material Origin, Create Nota Fiscal Usage, Material Origin, Confirm Deliver Nota Material Category, NCM code - PO Number Sales to receive - PO Number order material Fiscal Material Category, NCM code Order Components
- Special Movement - Pricing Schema
Bolt-On
Bolt-On
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Subcontracting
The Solution
SAP Configuration
Pricing Schema with Brazilian taxes (ICMS, IPI); Special Nota Fiscal type to support Subcontracting Nota Fiscal; Special movement type to support Subcontracting components issue and Subcontracting components return (symbolic); Nota Fiscal Association to Movement types for Subcontracting; Account association to subcontracting movements. SAPscript for Purchase Order Printing; Adjustments to SAPscript for Outgoing Nota Fiscal form (Remessa para Beneficiamento). MASTERSAF, Aspen-Sati, SYNCRO. Price of each component to be sent to subcontracting should be informed manually.
Special Development
Bolt-Ons
Manual Workaround
Implementation
The complexity of this solution is high due to:
control the components sent to subcontracting and do the manual movements to adjust stock in case of material loss; look for the price of each component to be sent to subcontracting and calculate the amount of the material to be sent to inform in the goods issue transaction to generate the Nota Fiscal; match the values of the components sent to subcontracting in the Symbolic Nota Fiscal of Return of the Components used in the subcontracting; process definition difference between subcontracting (components <> processed material) and industrialization (components = processed material).
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Agenda - Consignment
Overview Description of Scenario Overview Business Process Flow Main Localization Requirements Solutions SAP configuration Special Development Bolt Ons Manual workaround Summary Reminder of Key Points
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Consignment
Define & Maintain Data Forecast Order Handling Planning Purchasing Inventory Production Shipping & Logistics Invoice & Payment Claims & Feedback
Execute Work
Scenario : Consignment This scenario describes the main flow of activities to be performed in Brazil from the creation of a purchase requisition for an item and its release procedure until payment of the item when it is received for a material that was received in the plant used a consignment process. In this process, the material is sent by the vendor without payment and at a certain period (for example, the end of the month) it is verified the usage of this material and the vendor invoices the company the quantity used. Replenishments of this stock are performed during the month to avoid lack of material in stock.
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Consignment
Customers
- At Invoice Verification, inform Nota Fiscal Number, Issuing - At goods receipt the materials in date, receiving date, total consignment are received in SAP in a amount, Nota Fiscal Type and special stock (or accounting control) and a Posting Fiscalto the Nota Fiscal the reference Nota Fiscal of Remessa em Consignao G/L Books received in consignment is generated in SAP (that has all the information of the Nota Fiscal sent by the vendor)
Fiscal Books
Outline Agreement
Posting G/L
Fiscal Books
Purchase requisition
Evaluate quotations
Purchase order
Goods receipt
Invoice verification
Goods receipt
Suppliers
Quotation
Bolt-On - Pricing Schema - Pricing Schema - Special Movement Type - Tax code - Tax code - Fiscal Texts for ICMS and IPI - Nota Fiscal Type - Additional data: Material - Additional data: Material - Tax Code - Tax code Usage, Material Origin, Usage, Material Origin, Create Deliver Material Category, NCM Material code Category, NCM code Confirm - PO Number - PO Number Sales Material/ order Order Nota Fiscal
Bolt-On
Bolt-On
Nota Fiscal
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Consignment
The Solution
SAP Configuration
Pricing Schema with Brazilian taxes (ICMS, IPI); Special Nota Fiscal type to support Consignment Nota Fiscal; Special movement type to support Consignment receipt; Nota Fiscal Association to Movement type for Consignment receipt; Account association to consignment movement; Special Tax Code configuration for Consignment process. SAPscript for Purchase Order Printing. MASTERSAF, ASPEN_SATI , SYNCRO. Use of SAP standard reports to gather information about consignment stock in hand, materials received in consignment and usage of materials.
Special Development
Implementation
The process has an standard operation in SAP. The complexity will be the control of stock in consignment because its required to use some SAP standard reports to control these stocks.
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Vendor Returns
Define & Maintain Data Forecast Order Handling Planning Purchasing Inventory Production Shipping & Logistics Invoice & Payment Claims & Feedback
Execute Work
Scenario : Vendor Returns This scenario describes the main flow of activities to be performed in Brazil when a material received is rejected by any reason and it is necessary to return the goods to the vendor.
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Vendor Returns
Customers
-
Return to Vendor Nota Fiscal Create a Credit Memo to the vendor informing Purchase Order Number, total amount being returned, materials being returned, amounts per material being returned, Nota Fiscal Type, Fiscal Texts for ICMS and IPI
Posting G/L
Fiscal Books
Posting G/L
Reject Material
Bolt-On
Suppliers
Nota Fiscal receipt Receive Returned material
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Vendor Returns
The Solution
SAP Configuration Pricing Schema with Brazilian taxes (ICMS, IPI); Special Nota Fiscal type to support Return to Vendor Nota Fiscal; Special movement type to support Return to Vendor issue. Special Development Adjustments to SAPscript for Outgoing Nota Fiscal form (Vendor Return). Bolt-Ons MASTERSAF, ASPEN-SATI , SYNCRO.
Implementation
The process has an standard operation in SAP.
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Purchase to Pay
Other Local Legal Scenarios
Utilities Nota Fiscal (Energy, Phone, Water); Future Delivery on purchasing; Third-Party; Complementar Nota Fiscal; Free of Charge (Donations, Samples); Return of Repairs; Test; Returnable Packaging; Freights; Inventory Write-offs; Purchase of Services.
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CONFIGURATIONS:
Different pricing schemas for several scenarios in Sales and Purchasing (complex configurations); New SD documents should be created using specific doc. types for Brazil; Different Nota Fiscal types to support business processes; New movement types to support business processes; Different tax codes should be created to support business process; Upload or input exceptions related to taxes calculation (ICMS and IPI rates - exception by material, ICMS and IPI Fiscal Texts, withholding taxes - IRRF, INSS, ISS); Extra configuration required in case of using bolt-on systems.
DEVELOPMENTS:
SAP Script development for the main documents in Logistics (purchase order, sales order and picking list); SAP Script development for the Nota Fiscal and high effort to test all the business variants and validate the Nota Fiscal printing (Outgoing and Incoming); Extra ABAP developments in case of using interfaces of SAP to other systems.
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FISCAL KNOWLEDGE:
BBRAUN Fiscal Area participation during the project is essential in order to transfer their fiscal knowledge, provide information during configuration, validate the tests and learn how to handle the SAP system; Basic fiscal knowledge of the buyers and the sales team to understand all Brazilian legal fields and their correct application in SAP documents affected by localization (sales orders, purchase orders, goods movements, Nota Fiscal).
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Contains taxes and business requirements Pre-printed form Sequenced numbers by physical site (branch) Audited by local Fiscal Authorities Source of key integration data
Accounting information Tax information
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Material
NCM Code Brazilian naming of goods CFOP Category the type of operation Material Destination Resale, Consumption & Asset Material Origin (domestic / imported) Produced in-house or not Taxes Classification (ICMS, IPI/ISS)
Vendor
Legal Information (tax code i.e. CNPJ) Situao Tributria IPI and ICMS Withholding category indicator
Customer
Legal Information (tax code ie. CNPJ, Insc.Estadual) Text code (texts are printed in the Nota Fiscal) Tax Classification (Taxable, Zona Franca) CFOP Category
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Actual Cost Method is mandatory in Brazil for legal requirements. It requires specific configurations and a significant amount of testing. SAP developed specific programs that have to be executed at every period end. The solution was part of Localization Brazil but now, it is part of SAP standard through the Material Ledger tool. An additional feature is the inventory control in 3 currencies
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Customer
Production Order
Production Order
Semi-finished Product
Filial/Planta Paulnea
Production Order
Customer
Production Order
Production Order
Semi-finished Product
Filial/Planta Paulnea
Production Order
Customer
Production Order
Finished Product
Filial/Planta Paulnea
Production Order
Semi-finished Product
Production Order
Customer
Production Order
Finished Product
Filial/Planta Paulnea
Production Order
Semi-finished Product
Production Order
Customer
Production Order
Finished Product
Filial/Planta Paulnea
Production Order
WIP Inventory
Production Order
Semi-finished Product
Customer
Production Order
(COGS)
Finished Product
Expenses
Production Order
AMBEV CBB Entidade Legal rea de Negcio rea de Negcio ITB Filial/Planta ITB
Production Order
Filial/Planta Paulnea
CC. Balance
Product Costing
All goods movements within a period are valuated preliminarily at the standard price. At the same time, all price and exchange rate differences for the material are collected in the material ledger. At the period end, the periodic unit price (actual price) is calculated based on each materials actual costs. The periodic unit price is used to revaluate the inventory at period close. Actual costing determines the portion of the variance debited at the nexthighest level using material consumption. With the actual BOM, variances can be rolled up over multiple production levels to the finished product and COGS (if sold). The revaluation is automatic reversed in next period and it is input back as "price difference". It will only definitely revaluate the inventory after the next standard cost calculation, which will probably take a good portion of the price variance.
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Product Costing
The Solution
Material Ledger activation Actual Costing functionality activation SAP Configuration Automatic Postings Movement Type Classification Special Correction Note Application Variance Adjustments Development for WIP inventory Abap Reporting (optional)
Implementation
Some difficulty to understand the concept ; High effort (resources and time) ;
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Detail analisys
Ensure correct costing in materials movement Period End Closing
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Price Control
Standard
All material movements are valuated at standard price and at period end, they are revaluated at moving average price.
Moving Average
All the remaining materials consumed at cost center level, not in production orders.
The moving average price is calculated at the moment of the entrance (Logistics Invoice Verification ). The consunption is valuated by the moving average price at the moment of each consumption.
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Example
Date: 01/05 Date: 02/05 Date: 03/05 Date: 04/05
Inventory Movement of Soya Oil Soya oil Init Bal.: 0 Entrance: 1.000 Kg End Bal: 1.000 Kg Soya oil Init Bal: 1.000 Kg Sales: 900 Kg End Bal: 100 Kg Soya oil Init Bal: 100 Kg End Bal: 100 Kg Soya oil Init Bal: 100 Kg Sales: 100 Kg End Bal: 0 Kg
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Example
I / Mono-di
Glicerine
Soya oil
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Example
Mono-di
Glicerine
Soya oil
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Plant A
Plant B
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Plant A
Plant B
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Calculate Variances
COGS Revaluation
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Calculate Variances
Order Settlement Single Level Costing Post Periodic Unit Price Multi Level Costing and calculate plus post Actual WIP Inventory and COGS Revaluation
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Calculate Variances
COGS Revaluation
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Calculate Variances
COGS Revaluation
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Calculate Variances
COGS Revaluation
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Calculate Variances
COGS Revaluation
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Calculate Variances
COGS Revaluation
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Material: AM0657050AG
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Calculate Variances
COGS Revaluation
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The variance is posted as a price difference in the ML. This means it will be posted back to inventory when running the actual price revaluation
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Calculate Variances
COGS Revaluation
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Calculate Variances
COGS Revaluation
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Calculate Variances
COGS Revaluation
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Calculate Variances
COGS Revaluation
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Double Click
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Logistics Invoice Verification required Impacts every logistic scenario Price Control issues
Raw material price control : Moving Average or Standard
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Boleto Forms
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Bank Transfer
Bank Transfer:
The following Brazilian-specific print program must be entered in the country dependent customizing of all payment methods that are used to create bank transfers. As part of localization, payment methods U and N are already customizing this way: RFFOBR_U This program prints a payment list (Bordero) or a DME (Data Medium exchange/Arquivo Remessa) file containing all payment information. The following Brazilian-specific payment transfer must be customized per company code.
J_1B_BORDERO: Payment list J_1B_DME: accompanying sheet
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For each of the both payment forms 02 and 10, a respective payment method has to be defined country dependent as a copy of the released payment method U (bank transfer) with a corresponding entry (02 or 10, respectively) in the field key in code line.
For payments without boleto, that is, for payment forms 01, 02, 03 and 10, any entry in the field Key in code line overwrites the automatic selection. However, if the field barcode number is entered into the open item, the resulting Payment form is 30 or 31 pending on the above conditions and the field key in code line is of no relevance. House bank and partner bank are identified by the first three digits of the entered barcode number.
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Execute Work
Finance
Scenario : Accounts Payable and Payments This scenario describes the activities flow regarding documents registering in Accounts Payable through the utilization of bar code reader device and also payments execution with files generation and exchange with banks.
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-Automatic
Bank / Interchange
-Automatic
file generation
Payments
Supplier
Generate boleto
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Customer
-Configuration
bank has its own file layout (Ita, Bradesco and Interchange) and extensive testing involving banks folks and testing environment
-Configuration
-Each
-Development
is required
Bank / Interchange
-Each
bank has its own file layout and extensive testing involving banks folks at its system environment for testing is needed is required
Payments
-Configuration
Supplier
Generate boleto
-Development
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The objective of this solution is address automatic payment through bank exchange files
extensive configuration required by payment program extensive testing with each one of the banks involved. contact banks folks to ask them to create system testing environment to start testing files exchange ASAP
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Instruction Code
The instruction code specifies further processing of the duplicata. Basic instruction codes are part of the localization Brazil. However, if required, additional instruction codes may be added though customizing. Instruction Code 1 = Codigo de ocorrencia Instruction Code 2/3 = Instrues de cobrana The instruction code can be entered into each individual item, when creating a duplicata the entered instruction code is transported into the duplicata. If there is no instruction code entry in the open item, instruction code defaults (e.g. REMESSA) are set either through the customer master or the respective house bank.
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Execute Work
Finance
Scenario : Accounts Receivable Collections This scenario describes the activities flow regarding the execution of accounts receivable collections with files generation and exchange with banks (Ita and Bradesco) and Interchange.
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Print boleto
Bank / Interchange
-Automatic
file
Collections
generation
Collections Updated
Supplier
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Customer
Receive boleto
Print boleto
bank has its own file layout Bank / Interchange and extensive testing involving banks folks at its system environment for testing is needed
-Development -Configuration
-Each
Collections
Collections Updated
is required
Supplier
bank has its own file layout Configuration and extensive testing involving banks folks and testing environment is required
-Development
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Bordero
Payment program Nota Fiscal
Duplicatas file
Customer
Boleto
Bank
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Bordero
Payment program Nota Fiscal
Duplicatas file
Boleto
Customer
Bank
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Automatic posting
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The objective of this solution is address automatic collection through bank exchange files
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Execute Work
Finance
Scenario : Legal Books and Files Preparation This scenario describes the activities necessaries to address Brazilian Legal and Tax requirements through legal books and files preparation. Its important to mention that most of sales, purchases and goods movement have tax impact in the books and files and based on these data repositories, taxes are calculated to be paid. There are three taxes levels: country, state and city levels.
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Sales Operations
Authorities
development of Interface between SAP and Bolt-on (e.g. Mastersaf, Syncro, Aspen-Sati)
Send Nota Fiscal
- ABAP
Manual workaround for Fiscal and Accounting issues not treated even by Bolt-on
-
Supplier
-Legal
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NCM code identified at material master Tax code defined at purchase order Its booked in accounting and Legal Books at invoice verification posting Tax calculated only at manufactured goods Tax accounts by plant NCM code identified at material master Tax code defined at sales order Its booked in accounting and Legal Books at billing document posting Necessity of releasing billing documents which accounting documents werent booked Tax calculated only at manufactured goods Tax accounts by plant
ICMS
Jurisdiction Code defined at vendor master data (to define rate) Jurisdiction Code define at plant address data (to define rate) Tax code defined at purchase order Its booked in accounting and Legal Books at invoice verification posting Tax calculated based on goods movement and services (e.g. freight) Tax accounts by plant
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Jurisdiction Code defined at customer master data (to define rate) Jurisdiction Code define at plant address data (to define rate) tax code defined at purchase order Its booked in accounting and Legal Books at billing document posting Necessity of releasing billing documents which accounting documents werent booked Tax calculated based on goods movement and services (e.g. freight)
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Assets Its important to mention that assets control in Brazil is treated through SAP standard functionality however there is an specific topic called CIAP. It addresses to the ICMS recovering of assets purchased for utilization at productive process. It has legal requirements represented by specific legal book and rules for its calculation. The main activities necessaries to implement CIAP control are: extensive configuration ABAP development for reports patches aplication into system environment
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Questions
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